Why Is CROX Stock Rising Today?

The company reported Q3 revenue of $1.043 billion, above estimates of $1 billion, and adjusted EPS of $3.69, topping estimates of $3.31.

• Crocs raised its FY26 adjusted EPS guidance to $14.45–$14.65, from $13.70–$14.00 previously.
• The company repurchased approximately two million shares for $250 million and repaid $21 million in debt.
• CEO Andrew Rees said the company’s third-quarter performance reflected disciplined execution of its brand strategies, reinforcing confidence in the outlook for both Crocs Brand and HEYDUDE.

Crocs (CROX) shares shot up over 25% by Thursday noon, hitting over two-year highs, after the footwear company beat third-quarter analyst estimates and raised its full-year 2026 outlook for a third consecutive time.

“Our results reflect strong execution against our strategic priorities and reinforce our confidence in the trajectory of both brands,” said Crocs CEO Andrew Rees.

Crocs reported third-quarter revenue of $1.043 billion, up 4.6% year-over-year, compared with analyst estimates of $1 billion. Adjusted diluted earnings per share (EPS) stood at $3.69, up from $2.92 a year earlier, topping estimates of $3.31, according to estimates compiled by Fiscal.ai.

Operating income increased 40.6% to $292 million, while adjusted operating income rose 11.7% to $232 million. Adjusted operating margin expanded to 22.3% from 20.8% a year earlier, while adjusted gross margin rose 180 basis points to 60.3%.

Crocs Brand And HEYDUDE Performance

Crocs Brand revenue increased 4.4% to $873 million, marking a record third quarter for the brand. CEO Andrew Rees said the performance was led by double-digit international revenue growth and continued momentum in the company’s product diversification strategy.

International revenue rose 11.8% to $434 million, while North American revenue declined 2.1% to $438 million. Direct-to-consumer revenue increased 8.2% to $510 million, while wholesale revenue edged down 0.5% to $362 million.

HEYDUDE revenue grew 6.1% to $170 million, returning to growth after previous declines. Its wholesale revenue increased 14% to $79 million, while direct-to-consumer revenue was nearly flat at $91 million.

Crocs Raises Full-Year 2026 Outlook

Crocs raised its full-year 2026 revenue growth forecast to approximately 3%, from 1%–2% previously. The company now expects Crocs Brand revenue to grow approximately 4%, while HEYDUDE revenue is projected to be roughly flat. Adjusted diluted EPS guidance increased to $14.45–$14.65 from $13.70–$14.00.

For the fourth quarter, Crocs expects revenue to increase 7% to 9% year-over-year. Crocs Brand revenue is projected to grow 6% to 8%, while HEYDUDE revenue is expected to rise 10% to 12%. It expects adjusted diluted EPS at $3.25–$3.45, and adjusted operating margin of approximately 20.5%.

Crocs Returns $250M Through Buybacks

Crocs repurchased approximately two million shares for $250 million during the quarter, at an average price of $123.32 per share. The company had approximately $1.7 billion remaining under its share repurchase authorization at quarter-end and also repaid $21 million in debt.

CEO Andrew Rees said that strong free cash flow generation allows Crocs to invest in its brands while returning capital to shareholders.

How Retail Views CROX

Retail sentiment on Stocktwits was ‘bullish’ with ‘high’ message volumes in the past 24 hours.

CROX shares have gained over 64% year-to-date.

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